Greece: AADE enforces POS interconnection and monitors gift tax compliance

The Independent Authority for Public Revenue (AADE) in Greece has clarified enforcement measures regarding the mandatory interconnection of POS terminals with cash registers to combat tax evasion. Failure to comply with these interconnection requirements results in significant administrative fines: €10,000 for businesses maintaining single-entry bookkeeping and €20,000 for those using double-entry bookkeeping. Fines may be reduced by 50% for businesses in settlements of fewer than 500 inhabitants or on small islands, though repeat offenses within five years can lead to doubled or tripled penalties.

Separately, tax authorities are monitoring money transfers between joint bank accounts. Transfers from a joint account to an individual account may be classified as informal gifts, triggering gift tax if the recipient is deemed not to have contributed to the original balance. While transfers up to €800,000 to first-degree relatives are tax-exempt, this exemption strictly requires the use of the banking system; cash transfers are subject to a 10% tax from the first euro. Small daily transfers via systems like IRIS for family support are generally not treated as taxable gifts.